The largest crypto exchange in the world, Binance, has announced that from today users can use their Terra UST stablecoins be able to to strike on the platform. By staking Terra UST, users can earn decent annual returns. Binance offers a return of up to 19.63% APY!
Terra UST strike on Binance
The cessation of cryptocurrencies is a passive activity. There is no need to actively put effort into this. Crypto staking is basically best compared to depositing fiat currency into a savings account. The owner of the savings account is paid a certain amount of interest annually and in return the bank uses the money for purposes such as borrowing.
In case of discontinuation on Binance staking cryptocurrencies is also a piece of cake. Users can simply lock their coins or tokens on the Binance platform and receive a periodic reward for doing so. When staking the Terra UST stablecoin on Binance, users even get paid daily.
Users can choose from three options to stake their UST tokens on Binance. The minimum period over which UST tokens must be locked in is 30 days. During this period it is not possible to withdraw tokens from the staking contract. An annual return of 13.98% applies. With a longer strike period, the annual return increases. For example, a 60-day strike gives a return of 16.85% and a 90-day strike gives a whopping 19.63%.
Interested parties can on Binance Get started easily and earn passive income in no time.
Strike risks
Although the discontinuation of cryptocurrencies can be quite a lucrative activity, there are of course risks involved. Especially the fact that during the strike period it is not possible to move tokens or coins can lead to unexpected consequences. For example, the price of the underlying crypto can fall during this period.
In the case of Terra UST, of course, this risk is minimal as it is a stablecoin. The value of Terra UST is pegged to the US dollar and is therefore very stable.